Category Archives: Politics: National

Watch How They Defend ‘Em

Fan and Fred

In a move so surprising I had to check THREE times that I wasn’t reading The Onion.  Obama is proposing to kaput Fanny and Freddie:

(Reuters) – President Barack Obama will propose overhauling the U.S. mortgage finance system in a speech on Tuesday, weighing in on a tangled and polarizing problem that was central to the devastating financial crisis in 2007-2009 and that continues to slow the economic recovery, the White House said.

Just another big government program in the waiting, right?  Hardly:

Obama will propose eliminating mortgage finance entities Fannie Mae and Freddie Mac over time, replacing them with a system in which the private market buys home loans from lenders and repackages them as securities for investors, senior administration officials said.

Huh?

Obama is suggesting that we demolish the government agencies and replace them with private market systems?  But I thought that the practice of repackaging mortgages was immoral and the root of all evil?

The mortgage securitization process is deemed essential to the smooth flow of capital to housing markets and the availability of credit.

What has happened?  I thought that it was evil Wall Street that brought down fire and brimstone upon us all?  It was Wall Street bankers that took mortgages, packaged them and the resold them.  Right?

The two enterprises don’t directly make loans, but buy mortgages from lenders, package them as bonds, guarantee them against default and sell them to investors.

But how much influence do they really have?

Fannie and Freddie currently own or guarantee half of all U.S. mortgages and back nearly 90 percent of new ones.

Blink.  Blink.

Holy shit that’s a lot of loans.

It’s long overdue, to be sure, that Fannie and Freddie are shut down and the government stop its subsidizing of loans to folks who have no hope of paying them back.  For me, this just reinforces the fact that the government policies and agencies were the primary driving force behind the housing collapse.

Now, to see who may or may not be right, watch who approves of this approach and watch who does not approve of it.  The first democrat that defends Fannie and Freddie is the first to be guilty of those policies I have been criticizing this whole time.  And the first republican who opposes the President is the most guilty of simply opposing every idea he has.

 

More Thinking On IQ

IQ

I was in conversation with a friend the other day when IQ came up.  And I used my road construction worker /Harvard grad example again.  Which got me to thinking.

Is there anyone alive right now that really believes the mean intelligence of 1,000 road construction workers is anywhere near the mean intelligence of 1,000 Harvard law graduates?

With that being true, we have to accept that given a random mate selection process that filters on intelligence, the children of the Harvard Law grads would have higher levels of intelligence than the children of the construction workers.  EXCEPT the gap would be smaller.  With a similar random mate selection occurring in the second generation, the grandchildren of the Harvard Law grads would be much more equal to the grandchildren of the construction workers.

Which means that it is okay to say that one group of people has elevated levels of intelligence without implying that another group is somehow genetically limited in their ability to attain those same levels.

It very well may be true that immigrants to America are less intelligent than the domestic population.  This shouldn’t be controversial.

Moving away from the immigration debate, consider what happens to the first and then second generation Harvard Law grads vs construction worker if mate selection is NOT randomized.  That is, we filter ourselves via homogamy.

Now the Harvard Law graduates are not marrying random mates, rather, they are marrying people much like themselves.  Almost certainly a college graduate and likely a member of the same social class.  And if the same phenomenon is occurring at the lower range of intelligence, the opposite expected results will take place – perhaps with consequences that are startling.

Poverty tracks with lower cognitive ability.  Likewise, lower cognitive ability predicts more children sooner with more of those children being illegitimate, which further drives poverty and risk.

I’m not sure what it all means, but it’s a rather scary proposition.

On The Basis Of Race

Together

It was only a matter of time before someone realized that being white was to be a numerical minority in the United States.  And since we have minority organizations in every corner of our society, it only makes sense that this was to happen:

Georgia State University officials say that six students have complained after seeing fliers around campus advertising a new student club known as the White Student Union.

Freshman Patrick Sharp says he started the club so that students of European and Euro-American descent can celebrate their shared history and culture. He said members can also discuss issues that affect white people, such as immigration and affirmative action.

This brings me to one of my main points in racial conversations.  If we want to eradicate the differences among the races, perhaps we should listen to Chief Justice:

The way to stop discrimination on the basis of race is to stop discriminating on the basis of race.

Hardly controversial.

The other point I make when discussing culture and history is that I have no sense of German or Swedish history, culture or roots.  I have no idea from which region of either country my family is from.  I have no idea how the governments of either are formed.  I do not know anything regarding either of these places.

My mother, whose father stepped off the boat at Ellis Island, knows that she is German but only has a sense of America as her home and native country.  She grew up speaking English, reading American history and when the Olympics were on, pulled for the Americans.  It’s the American National Anthem that stirs her, not the German Anthem.

If it sounds silly that Mr. Sharp wants to celebrate his European culture, then why would it not be as equally silly to celebrate an individuals Mexican culture, or Arab or African?

But think on these words:

“If we are already minorities on campus and are soon to be minorities in this country why wouldn’t we have the right to advocate for ourselves and have a club just like every other minority?” Sharp, 18, said “Why is it when a white person say he is proud to be white he’s shunned as a racist?”

Indeed.

 

Wherein Pino Is Fine With A Worker’s Strike

Strike

I’m harsh on labor unions.  In today’s world – and for much of the time I’ve been alive, labor unions have been the scourge of life.  Nothing but sucking the productive forces of our economy and lining their pockets off the backs of the workers.

Actions truly worth protest march.

Anyway, today there is a semi-nationwide strike:

Workers at the nation’s best known fast-food restaurants in seven cities across America are planning to walk off the job Monday to protest what they say are wages that are too low to live on. In a move orchestrated with the help of powerful labor unions and clergy groups, the workers plan to strike for a day to demand their wages be doubled.

The Washington Post reports that the protests will take place in New York City, Chicago, Detroit, Milwaukee, St. Louis, Kansas City, and Flint, Mich., involving workers at McDonald’s, Burger King, Wendy’s and KFC. Some employees at stores including Dollar Tree, Macy’s and Victoria’s Secret are also expected to join the protesters in several cities.

The workers are calling for wages of $15 per hour, more than double New York’s current minimum wage of $7.25.

As far as I can tell, these workers are not represented and actually could be fired if their employer so desired.

THAT is the type of labor protest that I can respect!

I remember, years ago, working in a catering gig when the boss, a reasonable man, offered me a promotion running a cafeteria at a local community college.  WAY more responsibility and work, staff and everything.  When I asked what my raise would be he said, “There wouldn’t be a raise, just the opportunity.”

Knowing that my field of choice was not going to be in the food industry I declined claiming that the money didn’t justify the effort.  He mentioned that he could just change my assignment and force me to report to my new job Monday.  I told him that he could, but that he wouldn’t want to have to train me and then my replacement in a matter of 6 weeks.

So I GET the fact that people don’t wanna work for less money than they feel they ought to.  And I think that they SHOULD walk out if they feel strongly enough.

Good for these guys and gals.

What I oppose is the racket that is the union basically legislating rules that tip the balance in their favor.

However, the grievances these guys make are less than compelling:

“A lot of the workers are living in poverty, you know, not being able to afford to put food on the table or take the train to work,” Fast Food Forward director Jonathan Westin told CBS New York. “The workers are striking over the fact that they can’t continue to maintain their families on the wages they’re being paid in the fast-food industry.”

Simple fact – these jobs are not meant to support families.

Robert Wilson, Jr., a 25-year-old McDonald’s employee in Chicago, told The Washington Post that he makes $8.60 an hour after seven years on the job. A previous walkout in April led to “small victories,” he said, including additional hours and slight raises.

Simple fact – These jobs are not meant to be stayed at for 7 years.

The truth is that these jobs are meant to be entry level low paid gigs that, in addition to paying money for baseball cards and skateboards, teach young people work ethic, job skills and interpersonal skills.

These jobs are MEANT to be worked for a year or 3 while in school and then left for greener pastures.  These employees are being underpaid, they are overstaying.

Detroit – How Did We Get Here

Detroit

De’troilet is and has been a mess for decades now.  A prime example of what happens when a democrat party controlled by unions (sorry to repeat myself ) has control of a city.

An insightful story in what residents of De’troilet have to look forward to:

In a small mill town in New England, dozens of retired policemen and firefighters are feeling the pain of what they see as a broken promise, offering a glimpse into what could happen to thousands of public workers in Detroit facing massive reductions in pension payouts after the city’s declaration of bankruptcy.

Donald Cardin became a firefighter at age 20 in Central Falls, R.I., a town just north of Providence that filed for bankruptcy in 2011. He was making $60,000 a year as a fire chief before retiring at age 42 in 2007 to take care of his wife Lana, diagnosed with thymic carcinoma, a rare cancer with extremely low survival rates.

The couple relied on Cardin’s health insurance, which required no copay, to cover Lana’s $8,000-a-month treatment. Cardin worked a part-time contracting job to make up the difference between his $34,000-a-year pension and his former salary.

But that all changed in 2011 when Cardin, and his fellow firefighters and policemen, were called to a meeting at the local high school, where state-appointed receiver Robert Flanders warned them that the city would not have enough money to survive if pensions were not cut. Weeks later the city would file for bankruptcy.

Bruce Ogni, 53, president of the Central Falls Police Retirees Association, won’t forget that day, either.

“All of a sudden they dropped this on us. There was no real negotiation. Flanders came in and said the city is in big trouble, we need half your pension and your medical,” he said.

With a wife and twin boys to care for, Ogni lost $1,200 a month and had to pay additional fees incurred by his wife’s health insurance. Eight months ago, Ogni’s wife was diagnosed with breast cancer, adding more medical bills to the family’s worries.

Ex-fireman Laurie and his wife, Kathleen, live off disability from social security (which he receives from previously working part-time jobs in addition to his service as a fireman) and a $19,000-a-year pension — down from $39,000 before the cuts.

The Lauries makes just enough money not to qualify for public assistance, but the $2,700 the family brings in each month barely covers their $2,300 in monthly bills.

Each of these individual stories is heartbreaking, to be sure.  Life threatening cancer to disability to expecting twins.  All of which is enough to occupy a man, but then the additional pressures of having your world turned upside down.

But there are some striking observations:

  1. What reasonable world do we live in that allows a man to retire at 42 with $34,000 in pension AND full health benefits?
  2. Every single one of the subjects is a tragedy.  Cancer, disability and expecting wife with twins.
  3. A 53 year old President of the Retired Police Association?

Personally, I think that contracts between companies and their pensioners should be upheld – the folks no longer have a position from which to bargain.  If my company changes my compensation, I can leave or stay.  However, with that said, these unions have absolutely been acting in bad faith and without moral concern for the parties involved.

They elect their cronies to office in order to negotiate with themselves.  The deals they strike are so ridiculous as to fail to pass a red face test.  And then, when the parasite finally kills the host leaving nothing but a dead husk – they act so SO surprised and innocent.

As if.

Medical Intervention

When we measure a health care system, are we measuring the right things?  For example, consider heart attacks.  Is the best measure of a medical care delivery system one where we measure how many people survive a heart attack once it’s happened or is it one where we measure how many people have heart attacks?

I suggest that one measure is a reflection of societal norms.  The other medical care delivery.

With that said, do we measure the US system fairly?

Cancer Survival Rate

It’s not even very close, really.  And this plays out to what we know to be true – the world comes to America for medical care, not the other way around.

Sure – move to the ranch in Montana and you have less access to medical care.  But is tat the fault of the system or a feature?

But what about life expectancy?

Life Expectency

When fatal injuries are removed, which occur before medical care can be applied, the US moves from 19 to [ahem] 1.

Race Relations: Having A Conversation

Race Relations

George Zimmerman.

Treyvon Martin

Race.

I’ve never not thought that we needed to have a conversation about race.  Of course we need to have a conversation and we have to have one now more so than in the recent past.  It hasn’t been since Obama – McCain in 2008 that we’ve talked about race in a significant manner.  And this moment in time seems more poignant.

So yeah, let’s have that conversation.

And that means putting on your big girl panties.  A conversation means interaction; interaction in ways that might be difficult, emotional and divergent from your own views.

So here is Bill:

Controversial?  Yup.  Opinionated?  Yup.  A conversation starter?  Yup.

A response:

So, Hayes has an opinion.  I get that.  And his opinion is that he doesn’t like O’Reilly’s opinion.  Which, I guess, is fine.  But what we’re trying to do here is have a conversation.  Which, like I said, is about engaging with UNlike minded people.

Hayes isn’t doing that here.  What he’s doing is anti-conversation having.  What he’s doing is offering a soliloquy, a speech of one with no option of dissenting views.

Which, like I said, is fine.  But it’s not a conversation.  And we need to have that conversation.

Abortion And Guns

Substitute one word for the other and you will be unable to distinguish the subject of debate.  Only the nature of the partisan will give you away.

On the right, they believe that the right to bear arms is given to us by the constitution.  Any attempt to regulate that right is really just a strategy to chip away at that right with the goal of removing all guns.  If sometimes bad people use guns in the wrong way and manner, that is the price of freedom.

On the left, they believe that the right to an abortion is given to us by the constitution.  Any attempt to regulate that right is really just a strategy to chip away at that right with the goal of removing all access to abortion.  If sometimes bad people use abortion in the wrong way and manner, that is the price of freedom.

Remember this when you are debating either guns or abortion.

Default Societal Trust And Hoodies

Howard Dental Hoodies

It all started with a friend of mine posting this picture on her Facebook page.

The picture is from an effort to bring attention to an ongoing profiling campaign:

This image is going around today, as students mobilize through the “Am I Suspicious?” campaign, “seek[ing] not only to raise awareness of the injustices that go on today and have happened in the past, but to prevent such occurrences for future generations.”

I was immediately struck that something wasn’t fitting.  The question, the picture and the comparison didn’t fit.  I tried calling shenanigans on her post but Facebook is a poor medium to handle back and forths.  So I’ll try this blog post.

So, first, I think that the question isn’t being phrased correctly.  I get the point.  Just because someone is wearing a hoodie doesn’t mean that they are a criminal or a nar do well.  And by using dental students, widely assumed to intelligent and law abiding, as examples of people who don hoodies that aren’t criminals, the point is attempted to be brought into stark focus.

But they aren’t asking the fair question.  If they wanna make a comparison of 50-70 dental students in and out of hoodies, the question, to be honest, would be

“Do you think that all people in hoodies are criminals?”

But they didn’t ask that question.  They asked the logically incompatible question:

“Now, do we look suspicious?”

And if you object to my complaint regarding the proper question, I can amend it.  I’ll change it to this:

“Now, do we look more suspicious than we other wise would have if we were in our medical jackets?

And the answer to THAT question is, without a doubt, “yes.”

And I think that everyone in America would agree with that answer.  Because by answering that question in the affirmative makes no claim that all people wearing hoodies are up to no good.  Nor does it say that people who are up to no good wear hoodies.  If asked in an intellectually honest vein, the answer is yes.

I’ve been thinking about this for several days now.  And the best way to explain what I’m talking about is to use a term that I’ll call:

Default Societal Trust

This is the trust extended between two people when meeting in society for the first time in day to day life.  That is, if I’m in a store and see someone in the aisle, or I’m walking down the street and meet someone on the sidewalk.  When I’m in a restroom at the burger joint and another guy walks in.  Just a random general anonymous encounter.

I suggest that when people signal us in a “mainstream” manner – we extend them  a general level of trust.  Whatever that level is doesn’t really matter.  However, I would think that it rates as feeling comfortable with asking the person for the time, or a bus schedule.  Not asking them to borrow money or the newspaper they are reading.  In days gone by, someone that you could bum a smoke from but not someone that you would trust to watch a laptop while you stepped away.

General trust.

And when people present out of the mainstream in some way, that trust can be lowered to some level less than it other wise might have been.

Consider this guy for example:

societal trust.college kidTypical level of trust.

Now, consider the same guy but presenting like this:

societal trust.body tatoo

Less societal default trust.  The kid in a full body tattoo pattern is signaling society in such a way that is not mainstream.  And the level of default trust is diminished.  It is less than it otherwise might have been.

And we have no idea if this kid is a premed student, a gifted pianist or a criminal.

Now this guy:

societal trust.biker

It might be a add-on argument to the tattooed kid above, but in general, “biker dudes” tend to be seen with diminished levels of societal trust.  To be sure, there are many lawyers, doctors and other highly respected professionals that throw on the leather every weekend and again in the first week of August that have not one single criminal intent in their bodies.

Meet one on the street for the first time?  Less societal trust than would other wise be extended.

How about this individual:

societal trust.pierce

Or this guy:

societal trust.goth

In both cases, the individual in question could be the coolest, most intelligent and compassionate guy you would ever wanna meet.  But when first met, in the restroom, or in the bar, on the street or in the elevator, the level of suspicion will be elevated and the level of societal trust will be less than it otherwise would have been had the person signaled or presented in a more mainstream manner.

I don’t think that this is surprising or even controversial.  In fact, I suspect that societies signal mainstream as a means of survival and cohesion.

All of which is a very long way of saying that when people wear a hoodie, in certain and specific contexts, they are presenting or signalling in a more suspicious manner than they otherwise might have.

Musings On IQ

IQ.2

They repaved my neighborhood streets this past week.  As I was waiting for the pilot car I was struck by how good these guys were at making roads.

But how horrible they were at managing the schedule of pilot cars.

And I got to thinking:

  • IQ is highly heritable.  Up to 80% so.
  • IQ tests are an imperfect measure of intelligence.  But in the aggregate, are pretty good.
  • 100 years ago, occupation didn’t filter IQ.  That is, we had very intelligent people working in factories and shops and in the trades.  Much more so than we have today.
  • As colleges have become better at sorting on IQ, we have become a society that is sorted by intelligence.
  • People marry who they hang out with.
  • If intelligent people hang out with and marry other intelligent people, they will have children who have higher IQs.
  • If you took 1,000 employees who held traffic signs at construction sites and measured their IQs they would score lower than 1,000 college graduates.
  • Those 1,000 college graduates would score lower than 1,000 Harvard alum.

I don’t know what policy implications this has, but I’m afraid of the ramifications.